Pinnacle West Capital Corp (PNW)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,963,460 | 1,734,010 | 1,621,480 | 1,667,770 | 1,666,350 |
| Revenue | US$ in thousands | 5,124,920 | 4,695,990 | 4,324,380 | 3,803,840 | 3,586,980 |
| Gross profit margin | 38.31% | 36.93% | 37.50% | 43.84% | 46.46% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,963,460K ÷ $5,124,920K
= 38.31%
The gross profit margin of Pinnacle West Capital Corp has shown a declining trend over the past five years, from 46.46% as of December 31, 2020, to 38.31% as of December 31, 2024. This indicates a decrease in the company's profitability on each dollar of sales during this period. The decrease in gross profit margin could be attributed to various factors such as increasing costs of goods sold, pricing pressures, or changes in product mix. It is essential for the company to closely monitor and address the factors contributing to this declining trend to ensure sustainable profitability in the future.
Peer comparison
Dec 31, 2024